Class 2 - Quality Management 5210S [Compatibility Mode].pdf

7/25/2019 Class 2 - Quality Management 5210S [Compatibility Mode].pdf

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Class 2

Quality Management


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Managing Quality and ProcessVariability

Definition of Quality Quality Philosophies

The Many Tools of Quality Control Process Control and Capability Quality Management Systems


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Managing Quality and ProcessVariability

Organizational

Culture


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Definitions of Quality

Performance best primary specification in class

Features the range of options and extras

Reliability

failure rate per unit of time

Conformance degree to which it meets standards

Durability product life span

Serviceability time to repair, ease of repair

Aesthetics look, smell, feel, ambiance

Perceived Quality branding, reputation, habit

From: Competing on the Eight Dimensions of Quality David A. Garvin,

Harvard Business Review, November - December 1987.

Which definition(s)

is most appropriate

for your

organization?

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Basic Definition of Quality

conformance to customer requirements

Two ways to get conformance:

1) Design products that customers value.

Then

2) Control variability in processes.

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1) Design Products That Customers Value !

Value Analysissimplify products and processes

Design of Experiments (Taguichi)systematic manipulation of variables to maximize

performance

Quality Functional Deployment (QFD) cross functional teams from marketing, designengineering and manufacturing

teams weigh customer attributes for aspects of product

(e.g., car door)60% reduction in cost of new car at Toyota

Design for Processing

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2) Design for Quality Processing

Simplify Products an ServicesFewer parts, fewer steps ( improves reliability )

Modular design ( improves serviceability)

Standardize ComponentsSimplifies coordination ( improves conformance)

Fool-Proofing ( Poka-Yoke )Make it easy for people to follow specifications

Make it hard for people to deviate from specifications

Make it easy for people to detect an error before its

problem

Automate menial tasks 7


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3) Control Variability in Processes

Variability means inconsistency in meeting customersrequirements

All processes have variability but some have too much

How do you improve?

Control and Minimize Variability.

Process redesign!

Statistical Process Control (SPC) by Employees of Specific

Causes Better coordination in total supply chain (e.g., suppliers and

customers)

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QUALITY PHILOSOPHIES

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Some Quality Philosophies

Quality is what your customer thinks it is ( by perception orexperience ) Quality is about conforming to standards Quality is make it right, make it once

Quality is all about measurement & use of innumerabletools, statistics and measures

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Quality Control ( usually by 100 % inspection ) Quality Assurance ( usually by systems and sampling ) Total Quality Management (TQM) Six Sigma ISO 9000/14000

JIT ( every bit as much a quality approach as a lean

manufacturing approach !)

Cost of Quality

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ISO 9000 (Def): An international standard for documentingand communicating definitions, measures and procedures

for managing quality within and between firms. There areother quality standards such as QS 9000 in automobiles or

TS9000 for telecommunications

Total Quality Control (Def): a team based processimprovement program to improve cross-functionalconformance to customer requirements, utilizing SPC

concepts and tools.

Six Sigma (Def) : similar to TQM, a program begun atMotorola and more recently popularized by GE where

customer requirements demand a process capability of less

than 3.4 errors/defects per million units (e.g., six standard

deviations). 12


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Some Quality Philosophies contd

Is Quality always a trade-off with

production/volume ????

Is our Quality structure part of, or

external to, production????

Can we Inspect in Quality ???

Is Quality something entirelyanalytical & mechanistic, or

something more??

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Cost of Quality Concept

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Deming's Quality Philosophy

15% of all quality problems are related to a particular worker

or tool. The other 85% arise from faults in the companys

system and will continue until that system is changed .

W. Edward Deming

Bring under control the 15 % specific (common) causes ofvariance created by workers, machines and materials as

work is done in the existing process. (e.g., machinebreakdowns, human fatigue, interruptions, accidents,

mistakes, random errors)

Eliminate the 85 % common (assignable) causes ofvariance inherent in the process as the result ofmanagement decisions (e.g., poor product design, poor

design of planning and operating systems, faulty vendor

policies, dysfunctional incentives, bad marketing research )15


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Demings 14 Points (Abbreviated)For Controll ing Common Causes of Variation

1) Create consistency of purpose.

2) Managers must be leaders of change.

3) Eliminate the need for inspection of quality.

4) Stop awarding and rewarding based on lowest cost.

(e.g. selection of suppliers)

5) Continuously Improve.

6) Institute adequate training, not on the job

7) Management must lead by helping people and machinesperform better.

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Demings 14 Points (Continued)

8) Drive out fear.

9) Break down barriers between departments.

10) Eliminate slogans, exhortations and targets asking for

zero defects and new levels of productivity.

11) Eliminate work standards, quotas, management by the

numbers, management by objectives. Substitute

leadership.

12) Eliminate barriers to pride and ownership .

13) Institute continuous self improvement and education.

14) Quality is everyones job.

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The Process of Improving Processes

PDCA Cycle (Deming Wheel)

1. Plan a change aimed at

improvement.

2. Execute the change.3. Study the results; did it work?

1. Plan

2. Do3. Check

4. Act

4. Institutionalize the change or

abandon or do it again.

Similar Idea to the Define, Measure Analyze Improve and

Control (DMAIC) cycle in Six Sigma Programs18


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THE MANY TOOLS OF

QUALITY CONTROL

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The Many Tools of Quality Control - Analysis

Numerous analytical tools are available toanalyse and improve quality

Explained in great detail in your text

We wont dwell on them in this course

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The Many Tools of Quality Control -

Inspection

Where, when what how to inspect?At your suppliers plant?

On arrival at your plant?

Before costly or irreversible processing?

After each step in the production/transformation

process?

At the end of the process/line?

Prior to shipping/delivery?

At customer contact point?Mystery shopper ( Ritchies Spies )

.or even not at all !...

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PROCESS CONTROL &

CAPABILITY

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How Variability Hurts Performance ?

Bad Product /Process Design Routine Local Activity

Systemic Causes Specific Causes

85% of time 15% of time

High Variability in

Output and Quality

Uncertain Customers and Wasted Time and Money

Loss of Profitability , Market Share and Growth Potential

Use Statistical

Process

Control (SPC) to

decide when to act

and when not to act

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Time

ProcessM

easure

Process Control Chart:

Making Problems Visible While Working

Information: Monitor process variability over time (e.g., sample) Control Limits: Average + z Normal Variability

Decision Rule: Ignore variability within limits as normalInvestigate variation outside abnormal

How do we determine what is Normal ?

Normal

Distribution

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From Control to Improvement

LCL

UCL

Out of Control In Control Improved

Weight

Time

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Example: Customers will tolerate between 85 and 75 kgs. for the weight ofa garage door. Actual of process output is 4.2 kgs. with an average

weight of 80 kgs.

Cpk = (Upper Limit Lower Limit)/6] = Voice of Customer = (85-75 kgs.)Voice of Process (6)(4.2 kgs.)

= 0.3968 process capability ratio

OR

Sigma = (UL - LL)/2] = (85-75 kgs.)

(2) (4.2 kgs)

= 1.19 sigma process

How Good is a Process?:

Measuring Process Capability

Defectsper

Million

66,810 6,210 233 3.4

ProcessCapability

Ratio (Cp)

1 1.33 1.667 2

Sigma (S) 3 4 5 6

Normal distribution => 99.73% of output falls within 3

standard deviations on either side of the mean.

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Being In Control Versus Being Capable

Internal stability ( in control) is a necessary butinsufficient requirement for being capable; must consider

customers design specifications relative to processvariability

The process must be centered on the right standard.

if not, shift the mean ( i.e., standard or specification)

The variability of the process must be less than the range ofbehavior that is tolerated by the customer.

If not, reduce the variability

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Some final words on Six-Sigma

Many organizations do not need & cannoteconomically justify process performance at Six-

Sigma levels

Six Sigma is not only about statistics, but actuallyinvolves cultural change

Six Sigma demandsMassive and sustained investment in project/service designMassive and sustained investment in production control,

technology

Massive & sustained investment in training

Massive investment in plant & equipment

Massive & sustained leadership level commitment and real

involvement

The Ed Burns commitment test

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Some final words on Six-Sigma

Six Sigma is not a universal cure all for quality issues

Six Sigma can be an excellent tool for improvingquality, for certain kinds of organizations, with certain

types of quality problems, in certain markets and

environments, at certain stages in their development, as

long as the culture is aligned and supportive and themanagement commitment is real.. maybe some of the

time

The vast majority of attempted Six Sigma installs fail Six Sigma has not translated well in service

environments

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QUALITY MANAGEMENT

SYSTEMS

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Quality Management Systems

At the end of the day..How do you know what is going out your door is the quality you

want it to be?

What data and information is generated to assure that?

What systems do you rely on?, how good are they?

What controls do you want to have in place?, and how do you know

they are working?

How are you organized to ensure a quality product/service?

Does your internal culture fully align with & support quality, and

how do you know that?

How does your quality regime extend upstream and downstream

into supply chain partners, and how can you assure yourself ofthat?

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CASE STUDY: AGILE

ELECTRIC

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Documents

Class 2 - Quality Management 5210S [Compatibility Mode].pdf